KBRA assigns preliminary ratings to three classes of notes issued by TIC Home Improvement Trust 2024-A (“TIC 2024-A”), an asset-backed securitization collateralized by a pool of retail installment contracts used to finance home improvement projects of which the majority relate to the purchase and installation of home water treatment systems. This transaction represents Time Investment Company, Inc.’s inaugural 144A ABS securitization.

TIC 2024-A will issue three classes of notes totaling $114.7 million collateralized by approximately $128.0 million of home improvement contracts, consisting of an aggregate principal balance of the initial receivable pool of approximately $92.0 million plus an expected prefunding account balance to be deposited on the closing date of approximately $36.0 million.

The transaction has initial credit enhancement levels ranging from 22.40% for the Class A notes, to 10.90% for the Class C notes. The target enhancement level for the Class A notes is 42.00%.

Time Investment Company (“Time”) was founded in 1982, is based in West Bend, Wisconsin and has been active in the home improvement space for over 15 years. Time is an indirect consumer finance provider that originates consumer retail installment contracts primarily for home water treatment systems, HVAC systems, and other types of home improvements. Time is currently active in 48 states with 51 employees and a network of over 200 dealers.

KBRA applied its Consumer Loan ABS Global Rating Methodology, as well as its Global Structured Finance Counterparty Methodology and ESG Global Rating Methodology as part of its analysis of the static pool data and the underlying collateral pool and stressed the capital structure based upon its stress case cash flow assumptions. KBRA considered its operational review of Time Investment Company. Operative agreements and legal opinions will be reviewed prior to closing.

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Methodologies

• ABS: Consumer Loan ABS Global Rating Methodology
• Structured Finance: Global Structured Finance Counterparty Methodology
• ESG Global Rating Methodology

Disclosures

Further information on key credit considerations, sensitivity analyses that consider what factors can affect these credit ratings and how they could lead to an upgrade or a downgrade, and ESG factors (where they are a key driver behind the change to the credit rating or rating outlook) can be found in the full rating report referenced above.

A description of all substantially material sources that were used to prepare the credit rating and information on the methodology(ies) (inclusive of any material models and sensitivity analyses of the relevant key rating assumptions, as applicable) used in determining the credit rating is available in the Information Disclosure Form(s) located here.

Information on the meaning of each rating category can be located here.

Further disclosures relating to this rating action are available in the Information Disclosure Form(s) referenced above. Additional information regarding KBRA policies, methodologies, rating scales and disclosures are available at www.kbra.com.

About KBRA

Kroll Bond Rating Agency, LLC (KBRA) is a full-service credit rating agency registered with the U.S. Securities and Exchange Commission as an NRSRO. Kroll Bond Rating Agency Europe Limited is registered as a CRA with the European Securities and Markets Authority. Kroll Bond Rating Agency UK Limited is registered as a CRA with the UK Financial Conduct Authority. In addition, KBRA is designated as a designated rating organization by the Ontario Securities Commission for issuers of asset-backed securities to file a short form prospectus or shelf prospectus. KBRA is also recognized by the National Association of Insurance Commissioners as a Credit Rating Provider.

Doc ID: 1003139

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